2026-01-15 05:41:52

Why can USDC offer users a return of over 3%? Behind this is actually a covert battle over stablecoin regulation in the United States.

The GENIUS Act explicitly prohibits interest payments on stablecoins, but a compliant platform changed its wording—calling it "platform rewards"—and users can still earn returns of over 3%. This move not only shifts traditional bank deposits into the crypto space but also pushes the CLARITY Act into a sharp debate: does this count as disguised interest?

Regulators are struggling with the definition, while the market is looking for loopholes. The revenue model of stablecoins is undergoing a critical policy contest, and how the boundaries are ultimately drawn depends on how US regulators set the tone.

USDC-0.04%

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LayerZeroHero

· 3h ago

This is just a word game; changing the name can get you through... How are regulatory authorities so naive?

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OffchainWinner

· 3h ago

Haha, if regulators can't figure out this stuff, then we definitely shouldn't bother. As long as there's profit, just run. But seriously, this technique is really clever—changing a name to bypass the law? Wait, isn't this thing eventually going to have its rules changed... Banks must be vomiting blood, as deposits are moving into crypto. So, even in front of the law, it's all about rhetoric, huh?

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RugpullSurvivor

· 4h ago

Haha, just changing a name again to try to deceive regulators. I've seen this trick too many times. --- Platform rewards ≠ interest. That's a clever reason. Next, they might say airdrops don't count as income either? --- US regulators react very slowly. The market has long since exploited the loopholes and become addicted. --- Waiting to strike. They will definitely cut in later. Those currently earning rewards will have to give it up. --- It's just playing word games. In the end, retail investors are the ones who suffer. --- Basically, it's about exploiting legal loopholes. It might pass this time, but not necessarily next time. --- A 3% return sounds ridiculous. Where does such high yield come from? It always feels like a scam. --- Traditional banks are panicking. That's what they fear the most. --- Before the rules are finalized, they start opening the books. That's what smart people do.

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RooftopVIP

· 4h ago

Haha, compliant platforms are really clever. Just by changing a name, they dodge regulation. This is a perfect example of playing with words. Regulators are still debating the definition, but the crypto circle has already exploited the loopholes clearly. This pace is truly impressive. A 3% return may not sound like much, but it already outperforms bank savings accounts. No wonder traditional finance is so eager. Once the rules are finalized, this wave of dividends will probably be gone. Those who are bottom-fishing now are already making profits. Honestly, it all depends on whose legal team is more ruthless and what new tricks they can come up with.

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StakeOrRegret

· 4h ago

Haha, this "renaming trick" is really clever. The bill says to ban interest, so we just change it to rewards. Regulators are playing word games with the market. Sooner or later, they'll close this loophole. A 3% return doesn't sound like much, but compared to bank deposits, it's indeed attractive... The problem is, what if the policy suddenly changes? How long can you play these word games? Anyway, I'll earn first and then see. This is Web3. There's always a gray area in the legislation. By the time the U.S. reacts, it will be too late.

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AirdropHunter420

· 4h ago

Haha, just changing a name can fool the regulators. I've seen this trick too many times. Platform rewards? Nice words, but it's still interest. Just wait, you'll be caught sooner or later.

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Why can USDC offer users a return of over 3%? Behind this is actually a covert battle over stablecoin regulation in the United States.

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Why can USDC offer users a return of over 3%? Behind this is actually a covert battle over stablecoin regulation in the United States.

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